TOKYO, Feb 1 (Reuters) - Japanese trading house Marubeni
Corp said it expects to get Chinese regulatory approval
for its long-delayed $5.6 billion purchase of U.S. grain
merchant Gavilon by the end of March.

The transaction, which has received clearance from U.S. and
European anti-competition authorities, needs Chinese approval
because Marubeni will increase supplies of grains to the world's
most populous country through the purchase.

"As of today, there have been several inquiries from the
Chinese authorities and we are providing responses," Marubeni's
Chief Financial Officer Yukihiko Matsumura said on Friday at an
earnings briefing.

"I hope that the approval will be given in the not so
distant future."

The Gavilon deal, which includes debt of around $2 billion,
would catapult Marubeni, Japan's fifth-biggest trading house,
into the top ranks of global grain merchants and put it in a
prime position to meet rising demand for grains from China.

The deal had been originally scheduled to close in September
but was then pushed back to around end-November/early December
before suffering more delays due to regulatory reviews.

Teruo Asada, president of Marubeni, in November denied media
speculation that tension between Japan and China over disputed
islands in the East China Sea had delayed Chinese approval.

Marubeni expects to meet its forecast for net profit of 200
billion yen ($2.2 billion) for the year to March 31.

Net profit for the nine months through December climbed 7.9
percent to 152.5 billion yen, helped by increased equity in
earnings of affiliates in its copper business in Chile, gains in
investment securities and favourable foreign exchage rates.

Total trading transactions volume for the nine-month period
edged up 0.6 percent to 7.7 trillion yen on increases in
transactions for grains, oil and liquefied natural gas.